Wednesday, December 19, 2012

UBS admits fraud in $1.5 billion Libor rigging deal

Swiss bank UBS was hit with a $1.5 billion fine on Wednesday, admitting to fraud, paying bribes to brokers and "pervasive" manipulation of global benchmark interest rates by dozens of staff in a deal with international authorities.

The penalty agreed with U.S., UK and Swiss regulators is more than three times the $450 million fine levied on Britain's Barclays in June, also for rigging the Libor benchmark rate used to price financial contracts around the globe.